DALLAS LEADS THE nation’s hotel construction pipeline with 204 projects totaling 23,669 rooms, according to Lodging Econometrics. Atlanta follows with 168 projects and 19,431 rooms. Nashville and Phoenix each report 130 projects with 17,029 and 16,824 rooms, respectively.
The Inland Empire rounds out the top five with 122 projects and 12,234 rooms, according to LE’s latest U.S. Construction Pipeline Trend Report.
New York City leads the under-construction pipeline with 36 projects and 5,928 rooms, followed by Phoenix with 31 projects and 4,788 rooms. Dallas has 31 projects with 3,467 rooms, Atlanta 27 projects with 3,211 rooms, and the Inland Empire 19 projects with 1,962 rooms.
Dallas leads planned construction starts over the next 12 months with 78 projects totaling 8,856 rooms. Atlanta follows with 62 projects and 7,545 rooms, Austin with 53 projects and 6,663 rooms, and Nashville and Phoenix each with 48 projects and 6,533 and 6,272 rooms, respectively.
The early planning stage highlights Dallas’ market strength with 95 projects totaling 11,346 rooms. Atlanta follows with 79 projects and 8,675 rooms, Nashville with 64 projects and 7,840 rooms, Los Angeles with 56 projects and 9,243 rooms, and Austin with 55 projects and 5,974 rooms.
These project counts signal significant growth in the U.S. hotel sector, led by the South and Southwest regions, according to LE.
Washington D.C. leads renovations
The report highlights substantial hotel renovation and conversion activity across the U.S. at the end of the fourth quarter of 2024, totaling 1,997 projects and 255,816 rooms.
Washington, D.C., leads with 34 projects and 5,204 rooms. Chicago and Charlotte each report 31 projects with 7,514 and 3,384 rooms, respectively, LE said. Houston follows with 30 projects and 4,335 rooms, while Atlanta rounds out the top five with 28 projects and 3,595 rooms.
The fourth quarter saw 459 new project announcements nationwide, with 46 percent concentrated in the top 50 U.S. markets. Dallas led with 20 projects totaling 2,061 rooms, followed by Phoenix with 12 projects and 1,376 rooms and Raleigh-Durham, North Carolina, with 10 projects and 1,146 rooms. Las Vegas and Nashville rounded out the top markets with 8 projects each, totaling 4,556 and 991 rooms, respectively.
The U.S. market recorded 583 new hotel openings with 67,995 rooms through the fourth quarter of 2024. New York led with 16 hotels and 1,824 rooms, followed by Dallas with 14 hotels and 1,847 rooms, Nashville with 13 hotels and 1,770 rooms, Orlando with 11 hotels and 1,908 rooms, and Phoenix with 10 hotels and 1,230 rooms.
LE recently reported that U.S. hotel construction reached record levels in the fourth quarter of 2024, with 6,378 projects and 746,986 rooms in the pipeline, marking a 7 percent increase in projects and 8 percent in rooms year-over-year.
